Since entering October, many people have begun to have relatively good expectations for next year’s crypto market, so recently many people (including major Vs) have begun to conduct various research on potential tracks and projects that may explode in the next round of bull market. They have made predictions in the form of projects, and have listed their own observation lists, and these lists all invariably mention projects that may have ten times or even a hundred times the potential.
Hua Li Huawai As a WeMedia that focuses on blockchain knowledge sharing and project research, we do not deliberately recommend ten-fold or hundred-fold projects in our daily sharing. We only judge based on the current and future market situation and combine it with the project itself. This is just a basic review and sharing of innovation points and other factors. We do not accept any form of advertising from project parties, nor will we cooperate with any project parties in promotion. We will only use our independent opinions and preferences to select those projects that we think have potential for relevant research, analysis and sharing. , so, today’s article is no exception.
Today, we will continue to share an issue about projects, and let’s take a look at what other popular narratives and projects in the encryption market are worthy of attention in the remaining months of this year.
1.LSD and Restaking fields
LSD refers to Liquid Staking Derivatives, and Restaking refers to re-staking.
This year, the TVL size of the Ethereum LSD market has exceeded US$22 billion, and the total market value of all LSD projects has reached US$18 billion. The protocol income of the LSD protocol is directly related to the price of ETH, and the liquidity pledge agreement can be regarded as a leveraged bet on ETH.
According to a report by HashKey Capital (an institutional asset management company), it is estimated that by the end of the second quarter of 2025, the number of pledged Ethereum coins may account for 31%-45% of the total supply of Ethereum coins. Although staking yields may face a decline in the future as investor participation increases, this impact should be mitigated by the composability of DeFi protocols.
The following are a few recent projects worthy of attention in this field:
The first project is Redactedcartel (BTRFLY)
The Redacted ecosystem is a product suite that provides on-chain liquidity, governance, and cash flow for DeFi protocols. In short, Redacted’s goal is to build a variety of protocols covering multiple verticals within DeFi.
In July this year, they launched the Hidden Hand V2 product, introduced functions such as Range Bribes, Limit Bribes, and Yield Harvester, and made a new upgrade to the UX.
Another important product in the Redacted protocol suite is called Pirex, a Liquid Token Wrapper that allows users to easily compound their returns. Pirex currently supports tokens such as CVX, GLP, GMX, BTRFLY and pxETH. And, right now Pirex’s largest vault is their CVX vault, which is also the largest and most liquid vlCVX wrapper in DeFi right now. Already boasting $10M in TVL and 20%-30%+ APY, Pirex’s uCVX/pxCVX vault has become one of the best places for users to store their tokens.
In addition, Redacted has two upcoming products, namely pxETH (Pirex LST, which has been launched on the Goerli test network on October 5) and DINERO (Redacted’s native stablecoin).
BTRFLY is the governance token of the Redacted ecosystem, allowing users to lock their tokens in exchange for protocol fees and emissions. The main issue facing the token right now is that BTRFLY appears to be hampered by a combination of illiquidity and token emissions, as approximately 85% of the token supply is locked. But with the release of new products such as pxETH and Dinero, this situation should change.
The second project is Manifold (FOLD)
Manifold is a “middleware” product designed to improve connectivity between DeFi products. They created a new asset type this year called mevETH, which rewards stake holders with non-predatory MEV yields and can be scaled to the entire chain through LayerZero. MEV (Maximum Extractable Value) refers to the maximum value that a validator can extract in block production beyond standard block rewards and gas fees by adding, removing, and changing the order of tnx in the block.
Recently, Manifold launched a new MEV protocol and introduced a new auction system that allows for multiple winners per auction period, in contrast to the “one winner per period” that dominates the Ethereum ecosystem ” The pattern is in stark contrast. This new MEV protocol could redefine the way value is captured and distributed in the Ethereum network, with a focus on providing optimal MEV revenue for validators, with the aim of competing with the MEV protocol offered by Flashbots.
The 3rd project is Stader (SD)
Stader is a protocol that brings together products such as Staking Pool, Liquid Staking and Degen Vault, aiming to make staking easy for everyone. The protocol enables users to release liquidity while earning DeFi rewards through a liquidity mining protocol.
As a decentralized multi-chain liquidity staking platform, Stader has currently enabled liquidity staking on Hedera, Polygon, BNB Chain, Fantom, NEAR, Terra 2.0 and other chains. Users can pledge related tokens on Stader Get revenue.
SD is the governance token of the Stader network. Its main uses include serving as a way to pay transaction fees and smart contract execution. In addition, SD can also be used for pledge to ensure network returns.
When we mention the topic of Staking, we first think of Lido, the leading project in this field. For ordinary users, if they want to stake ETH, they usually choose a mature and long-running staking platform like Lido. However, if you want to perform liquid staking on Matic, BNB Chain, Fantom, NEAR, HBAR and other chains, then Stader Labs is a good choice.
In addition, Stader also launched the new Liquid Restaked Token (LRT) this year, allowing users to maximize rewards across the entire Ethereum ecosystem.
The fourth project is Restake Finance
Restake is a relatively new project, and like Stader above, it is also a liquidity staking platform. In addition, Restake is also the first protocol to launch modular liquidity staking for EigenLayer.
Late last month, Restake just announced it had raised $500,000 in funding. As shown below.
2.RWA field
RWA refers to Real World Assets, that is, real world assets. This concept represents a method of combining traditional physical assets with blockchain technology, aiming to digitize various physical assets through blockchain technology, thereby making traditional physical assets easier to trade, transfer and finance. These physical assets can include real estate (real estate), commodities (gold, rare metals, etc.), equity, bonds, etc. By converting these real assets into digital forms through blockchain technology, RWA can provide higher liquidity, lower transaction costs, and wider market participation. It can be said that RWA has huge potential in the crypto field and may become one of the catalysts for the next bull market.
The following are a few recent projects worthy of attention in this field:
The 5th project is MakerDAO (MKR)
MakerDAO's performance this year has been very good. Despite the weak overall performance of the encryption market, MKR has still performed well, especially since July, when the price has almost doubled.
Currently, MakerDAO seems to be moving from an “old” DeFi protocol to a RWA direction. In just two days from the 14th to the 15th of last month (September), MakerDAO once again added $100 million in RWA assets, with the main investment being short-term US Treasury bonds (annualized interest rate is 4.5%).
Previously, MakerDAO had purchased $1.1 billion in government and corporate bonds from treasury previously run through asset management company Monetalis Clysdale, and had also provided loans to Huntingdon Valley Bank and Societe Generale-Forge, a subsidiary of Societe Generale. . And on June 1 this year, MakerDAO voted 99.99% in favor of establishing the RWA treasury "BlockTower Andromeda" and once again expanded its investment in short-term U.S. Treasury bonds by US$1.28 billion.
To date, the total assets of RWA held by MakerDAO have exceeded $2.7 billion. There are various signs that MakerDAO is strengthening its embrace of RWA assets.
The 6th project is Frax Finance
Two days ago (October 6), Frax officially released the official documentation of its v3 version. Like Maker, Frax v3 also wants to bring treasury bond yields to the chain.
From the positioning of v3, Frax calls the v3 version of FRAX the "ultimate stablecoin", which will use AMO smart contracts and other "open, non-custodial" sub-protocols as the stabilization mechanism. AMO smart contract refers to FRAX’s classic algorithmic market operation module. The sub-protocol is divided into two parts: internal and external. The internal sub-protocol refers to Frax’s own lending market Fraxlend and the AMM exchange Fraxswap. The external sub-protocol mainly refers to Curve’s stable currency pool.
The 7th project is Canto Public (CANTO)
Canto is an L1 blockchain network built on Cosmos, but last month they announced that they would be migrating to the ZK L2 network powered by Polygon. This also marks a key step for Canto to integrate real-world assets into the field of decentralized finance.
Leveraging the open-source Polygon CDK, Canto aims to build a unified network of interconnected ZK L2 chains, thereby unlocking new potential for off-chain assets and ensuring their security and liquidity. Canto will use NOTE to put treasury bills on-chain. NOTE is a decentralized stablecoin pegged to $1 that uses the interest charged to stabilize prices to fund public goods.
3. Decision of STIP
STIP refers to Short Term Incentive Program, short-term incentive plan. This is the Arbitrum Grants we mentioned in the article two days ago. Through the Grant plan, Arbitrum announced that it will use 50,000,000 ARB to donate to its ecological projects. These funds will be directly given to its ecological projects for free, and the project parties do not need to Then return it to the foundation. By allocating funds to promising projects in its ecosystem, Arbitrum can also ensure that its ecosystem is always at the forefront of DeFi innovation and maintain its leading position in the Layer 2 field.
The Grant program not only benefits the Arbitrum ecosystem itself, but also stimulates innovation and forward development in the entire crypto field. Therefore, we should also pay more attention to the projects in the Arbitrum ecosystem. Maybe the 100-fold project in the next bull market may be born in this ecosystem.
Currently, promising projects in the plan include Radiant Capital, Pendle, Camelot, etc.
For the specific list of STIP projects, you can directly check the article the day before yesterday: "Will Arbitrum Grants be the catalyst for the next round of crypto bull market?" 》
4.Perp Dexes field
At present, the user growth of Perp DEX seems to have entered a bottleneck period, and the transaction volume of various head protocols also relies heavily on transaction incentives. The main problem here is that on the one hand, the growth methods of each protocol are inefficient, and it is impossible to exchange money for more real user growth. On the other hand, user experience and entry barriers still cannot be lowered quickly, and many newcomers may still know nothing about perpetual contracts.
Although GMX launched the V2 version some time ago (August 4) in an attempt to solve the above problems, the market response seems to be relatively mediocre. It can be said that the problems currently faced by the Perp DEX field cannot be solved by GMX's unilateral efforts. However, with the continuous upgrading and innovation of various protocols, coupled with the gradual improvement of infrastructure such as Bot and AA wallets, this situation may be improved in the future.
In addition, it can be seen from the current development of the Bot track that the infrastructure layer (Uniswap) may not have as high actual profitability as the consumer service layer (Unibot). After all, when the basic mechanism is homogeneous, user services and The benefits brought by operations are actually greater, just like Bitmex invented the perpetual contract, but the final winner is B'an.
The following are a few recent projects worthy of attention in this field:
The 8th project is GMX
Although the current MC of GMX is already relatively high, judging from its current price, it seems that there is still room and momentum for growth. Moreover, there is a high probability that GMX will receive a very large grant (14 million ARB) from the ARB Foundation. In addition to this possible grant, what we also need to know is that currently almost half of the projects on Arbitrum All are built on GMX (mainly on v1). Therefore, these driving factors may have some direct or indirect benefits for GMX.
The 9th project is dYdX
A few days ago (October 3), dYdX announced the launch of version v4, which will be released as the Cosmos application chain.
The 10th project is Gains Network (GNS)
As mentioned above, like GMX, more and more protocols are starting to be built on Gains, so Gains will also benefit directly or indirectly from this.
The 11th project is Synthetix (SNX)
Synthetix is a decentralized derivatives protocol. They plan to launch the Synthetix V3 version and Infinex in the fourth quarter of this year.
Infinex is a decentralized perpetual futures exchange front-end that can be traded on Optimism (OP). According to the official team, since Infinex is just the “front end” of the underlying derivatives protocol, it will not initially impose any geo-blocking restrictions or KYC restrictions on users.
5.LSDFi field
LSDFi refers to Liquid Staking Derivatives Finance, which we can understand as a DeFi protocol built on Liquid Staking Derivatives (LSD).
The essence of LSDFi is to combine the LSD market with DeFi products and protocols to provide users with more unique staking and lending opportunities. It creates an entire economy that can generate substantial income on the one hand and simplify interaction with LSD projects on the other.
LSD is a token that represents the equity of pledged ETH, such as stETH, rETH, wstETH, etc. Based on LSD, as time goes by and the market evolves, the LSDFi market will continue to change and bring new competitive landscape and opportunities.
The following are a few recent projects worthy of attention in this field:
The 12th project is Prisma Finance
Prisma is an LSD stablecoin protocol. They have currently purchased and locked 2 million CRV, aiming to consolidate their position in the Curve ecosystem and ensure the depth of liquidity of mkUSD. In addition, Prisma recently announced that it will cooperate with Frax Finance and launch a new mkUSD/FRAXBP gauge on Curve.
The 13th project is Ethena Labs
Ethena Labs is a decentralized stablecoin protocol built on Ethereum, and its stablecoin USDe will provide a scalable and stable crypto-native solution by hedging against pledged Ethereum collateral. USDe will be fully collateralized transparently on-chain and can be freely combined across DeFi.
The 14th project is Lybra Finance (LBR)
Last month, Lybra announced the launch of Lybra V2 and gave users a month to migrate LBR from Lybra V1 to Lybra V2.
New features of Lybra V2 include full-chain functionality, an expanded range of LST options as collateral, increased fund security, and new mechanisms to maintain the eUSD peg while supporting LBR value. Additionally, on Lybra V2, users will have two different ways to mint eUSD and peUSD, the full-chain version of eUSD.
The 15th project is Raft (RAFT)
Raft is an LSDfi protocol designed to provide users with capital-efficient lending and borrowing tools. By staking liquidity tokens, users can generate R tokens as collateral and optimally utilize their staking rewards to borrow.
R Token is an Ethereum USD stablecoin fully backed by stETH (LidoStakedEther). R Tokens provide the most efficient use of capital for borrowing and lending using users’ stETH. R Token aims to be the stablecoin of choice in decentralized ecosystems, with deep liquidity across many trading pairs and the ability to maintain a stable peg.
Okay, the above is all the content shared through "Hua Li Huawai" today. Let’s summarize and review together at the end. This article is one of the series of articles analyzing Hua Li Huawai’s projects. It mainly sorts out the five hot areas that deserve attention in the near future and some of their corresponding projects. In addition to the fields mentioned above, the recent Solana ecology, Cosmos ecology, GambleFi fields, etc. are also worthy of attention. Interested parties can inquire and research the details of relevant projects by themselves.
Further reading:
"How to analyze a project?" What are the basic ideas and methods for investigating and analyzing encryption projects? 》
Special thanks for this article: Prithvir12, 0xTHades, Senka (cover design)
Disclaimer: The above content is only a personal perspective and analysis. It is only for science learning and communication among enthusiasts and does not constitute any investment advice. Investment is risky, please treat it rationally, increase risk awareness, and abide by the relevant laws and regulations of the country and region where you are located!
